Studies in the US and UK confirm that “issuing, running and managing a tender process represents between 18% to 20% of the total cost attributable to the purchasing of the actual goods and services”
The cost arises when one considers that the people involved in running and managing the tender process i.e. engineers, contract managers, project managers etc are highly paid and skilled individuals who devote a significant percentage of their time to repetitive administrative tasks in managing the process.
Key Questions to consider
- How long does it take you to prepare tender documents for issuing?
- How do you ensure standardisation, probity and compliance through the tender process?
- How do you keep track of tender progress i.e. validation, response, correspondence?
- What % of your time is involved in administration as opposed to building value into the process?
Tenders are a powerful procurement methodology, where the purchaser leverages market forces to generate direct benefit. Whilst delivering this benefit the direct and indirect costs in running and managing a tender process itself can in certain circumstances remove the benefit entirely.
Traditional tender management tools, practices, internal processes and the individuals forced to use them constantly struggle with the task of issuing and managing a tender. The situation is further exacerbated through mandated adherence to procurement guidelines and organisational procurement processes.
TenderingBITS has been developed by MBITS to:
- Preserve and retain the inherent benefit of a tender process through reducing the direct and indirect costs of running the tender process itself.
- Create an environment for both respondent and issuer that is collaborative, can be quickly and easily deployed, is highly secure, open and transparent with a complete audit trail to ensure probity and compliance.
- Support and adhere to Commonwealth Procurement Rules and/or other organisational procurement process mandates.
- Deliver highly automated operations reducing the human resource effort required to run the tender process whilst removing the likelihood and impact of human error or misadventure.
- Fully integrate the key steps in the end to end tendering process through standard feature rich workflow.
TenderingBITS is offered under a Software as a Service (SaaS) model.